Council delays vote on taxicab rules again

The City Council on Wednesday put off a vote on new vehicle-for-hire regulations in hopes of mediating an agreement between existing taxi and limousine companies and new business entrants Uber and Lyft, which need the new rules to operate legally in Houston.

Rules proposed by Mayor Annise Parker's administration would allow technology companies like Lyft and Uber to enter the market, connecting riders with drivers via smartphone and tablet applications, alongside established taxicabs and limousines. With the delay, the council may not take up the proposed rules and amendments until its July 30 meeting.

Under the proposed rules, the technology companies would have to acquire permits to operate in the city and must carry $1 million in commercial liability insurance on its drivers. The drivers and the vehicles they use would face their own safety and inspection standards.

Local cab and limo companies oppose the new regulations.

If the council approves the changes, Uber officials have said the firm could operate its existing Uber X service, as well as Uber Black, a private car service that teams the company with existing local limo firms. Lyft, however, is unwilling to use the driver background check system proposed by the city, believing its own procedure is better. Councilman Dwight Boykins offered amendments Wednesday to tweak some of the driver requirements to Lyft's satisfaction.

Councilman Mike Laster offered an amendment to limit the number of drivers who could work for companies such as Uber or Lyft, and Councilman Michael Kubosh offered amendments seeking to avoid what he sees as potential loopholes related to the definition of "ridesharing," and to the ability of Uber or Lyft drivers to pick up passengers on the street or at an airport without pre-arranging the trip via smartphone or tablet.

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